Short Term Trading Member Forum

[techcharter]

SPX Futures E-wave

http://www.barchart.com/interactive_charts/futures/ESH5


From the close on Monday March 2nd to the Wednesday morning low was 5 waves (motive). The rally into today's premarket was a zigzag. During the open market, the futures traced out a zigzag pullback. The choices for the near term are a zigzag to complete a double zigzag, a motive / ending diagonal to complete a flat, or three more zigzags to complete a triangle.

Regardless of which one of the three happens, a day or two of selling taking the SPX below Wednesday's low will follow. A triangle would imply a high probability of one more test of all-time highs. The other two can't guarantee a retest or a new bear market.